All Forum Posts by: Chris Anderson

Thanks for a Fun event.  I enjoyed meeting everyone and hope to have a chance to collaborate in the future.

The barrier for entry is so low in that industry.  Its a bad business model.  Too easy to get bumped/  Inventory loos and no leverage involved.  Real Estate much better.  Now a coin op laundry seems attractive to me.  I would suggest other industry within real estate where you can leverage your business.  i own a property management company, construction company, rental property, flip houses, mentor investors, and hopefully will own part of a brokerage within a year or so.

@Tom Ciccarone Check this one out?

@Doug Beck Has one every month in Somerville that I attend often

What is the status of the oil tank in the basement? I was also told there is soil contamination?

I invest primarily in Somerset County.  My partners and I have over a dozen properties now and are looking to add more soon.  We are trying to buy one buy and hold per month.   We own property in a few other counties, I would suggest you invest near you.

@James Masotti give me a call and I can talk to you about the process.  I am sending a PM with my contact number

So look at the upside.  File the insurance claim and police report for theft.  Then have new products installed.  You just upgraded all the mechanicals for $1500.00 also if you work both ends.  The insurance company will likely pay more then you can have it done for.  So you might actually not even spend $1500.00

I know a guy who had 30 homes flood damaged.  He said it was the best thing that ever happened.  He received great deals on the renovations and updated all those homes for virtually nothing.  He actually made $100k updating his homes.  He wished it would happen every 20 years.

I guess its just about point of view.

@Ryan Stark

OK, so here goes it.  I analyze a lot you can find under valued properties and ones you can add value.  Here are a few of our properties.  We do larger renovations in order to force appreciation so that we can pull out our money.  Our single and multi cash flow over $500 on average.

Purchase price $63,000

Repairs $105,000 approximately

Appraised Value $320,000

Cash Out Refi $208,000

Rent $2,650.00

$350 cash flow made about $20,000 on the refi when calculating holding costs and fees

Sold 1 year later for $295,000

made an additional $65,000

Purchase price $105,000

Repairs $7,500

Appraise Value $187,000

Cash Out Refi $121,500

No net on cash out No Money in House

Rented for $2,300 per month

Net Cash Flow is about $980.00 per month

This one just is a two family.  Just lease both apartments These are the numbers

Purchase $90,000

Repairs $245,000

ARV $475,000

Cash Out Refi in Progress Expected amount is $330,000 We will leave behind a bit in this one. But it will be fully repaid in 2 years.

Rent Roll is $2400/month and $2025/month

Everything is new gutted to the studs

PITI will be aprox $3000/month

Net Cash Flow is $1400/month or $700/month

These are real deals.  We use a combination of investor partners, hard money and lenders to make our deals work.  Some are cash flow plays some are appreciation.  Some we flip for money.   You are not far form me reach out and I will give you the nickle tour of what I do in my business.  

The simple steps are is 

1 Analyze every deal in your target market. So that when one is a actually a deal you can spot it easily.

2 When the numbers look good get there first, make an offer.  Always make the offer.

3 Rehab the property as fully as possible.  I don't cheap out on anything. Make my holding costs more consistent. And makes the management easier.

4 We are ready to go with permit applications on closing.  Some municipalities will actually review you permit apps and plans before you close.  So that you can start right away.  Ask.

5 Have a plan on how you are going to get your money back. We have out numbers months in advance.

6 Get your money back and repeat. 

@Ryan Stark

 Really well.  We have paid off several loans and I currently have 4 active loans and am closing another next week.  I have a great relationship with Anthony and Peter.  The construction reviewer Pat is super knowledgeable and a great resource for investors.  I would highly recommend Ashmore Partners.   I have actually grown my relationship, since the last post, and now am moving into joint ventures with the guys from Ashmore Partners.